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In April, new business volume in the equipment finance sector reached a total value of  $5.1 billion, up 11 percent compared with April 2010’s total value, but down 18 percent vs. March volume, according to the Equipment Leasing and Finance Association’s (ELFA) monthly leasing and finance index.   
 
Credit quality improved during April. Receivables over 30 days decreased to 3.3 percent from March’s 3.5 percent in March and fell 9 percent year over year, while charge-offs declined to 0.8 percent from March’s 1.3 percent and inched down on a year-over-year basis, ELFA said.
 
Total headcount for equipment finance companies increased for the first time in six months, rising 1 percent compared with April 2010.

“All of April’s business performance indicators appear to provide evidence that the equipment finance sector continues to gain momentum,” said ELFA President and Chief Executive Officer William Sutton in a prepared statement. “Recent anecdotal information from ELFA members … supports the observation that new business activity is strengthening and credit quality is improving.”

The ELFA also announced that its monthly confidence index for May is 63.2, down from April’s index of 70.3, indicating "a more measured outlook due to the uneven performance in certain sectors,” association officials said.